Thursday, 19 February 2009

Retry #3

My Poor Broker!

Since the world stock markets began their wide roller coaster rides last fall, I began to use BNN as background noise as I work on various projects. Interesting to catch occasional bits of chatter as the stock tickers in rare moments climb out of the black pits or as usual plummet into the abyss. Despite the wild fluctuations in direction and general agreement among the commentators in the inability to forecast the direction of prices, those all seeing, all knowing huckster salesmen AKA the professional brokers have yet to change their tunes.

Every day still remains a gigantic buy opportunity as ’prices have never been so low since the Great Depression’ and ’the market has nowhere to go but up’. Never a suggestion or hint to dump the dogs and keep cash under the mattress, because of course, that action would rob them of commissions (which they nimble pry out of your wretched hands whether buying or selling or prices up or prices down. Everybody even gets to shell out good money for their bad advice. I’m especially enamored of the constant prompting to engage the power of averaging down. With share values falling so rapidly your average cost declines to almost nothing until the company goes bankrupt. And I suppose if you buy enough shares at no cost, eventually your average price will descend almost to zero.